MBSs went "no-bid" on Friday

the 2008 analogy is not really correct since that situation was different in fundamental ways; and at that time the Fed could pull out the untested experimental QE playbook (which worked, more or less), while they're trying to undo QE now

the 2008 crash and the Great Recession were disinflationary; the current circumstances are the most inflationary since Volcker reigned

personally (and this is JUST my personal opinion), Powell will be facing a lot of pressure to go super-hawkish NOW so that some stability can be achieved by late August / early October -- American memories are short, and a "wow it seems to be under control now" reaction by the public would be just in time for the November mid-term elections... if, instead, the medicine is administered slowly, then the people in power will face a horrible election situation in November and they don't want that! (and, yeah, the Fed is technically independent etc..., but what happens with the American economy impacts the Ukrainian War in the current circumstances, especially since the most effective American intervention in the Ukraine situation thus far has been the comparative beating-down of the Russian economy)

/r/realtors Thread Parent